ANALYSIS OF THE INTERNATIONALIZATION STRATEGY OF MSMES KENDANG DJEMBE BLITAR

Main Article Content

Muhammad Sulhan Sudarmiatin Sudarmiatin

Abstract

In the current era of globalization, it provides opportunities for MSMEs to market their products not only domestically but also in international markets. MSMEs Kendang Djembe Biltar is one of the MSMEs that has sold its products abroad. The purpose of this article is to identify the opportunities, threats, strengths, and weaknesses of the Kendang Djembe Blitar MSMEs to develop a suitable business strategy to increase the internationalization of the Kendang Djembe Blitar MSMEs. The approach used in this study is a SWOT analysis, the results of which are summarized in the External Factors Analysis Summary (EFAS) and Internal Factors Analysis Summary (IFAS) tables, then transfer the EFAS and IFAS values into a SWOT matrix to determine the business position as the basis for designing a suitable business strategy. to increase internationalization. The results of this study indicate that MSMEs Kendang Djembe Blitar are in quadrant I in the SWOT matrix, so the strategy that can be done in increasing its internationalization is to carry out a market development strategy, by expanding its marketing both take away and online media (digital marketing), developing business and multiplying destination countries for exporting their products, as well as adding a variety of products.

Article Details

How to Cite
SULHAN, Muhammad; SUDARMIATIN, Sudarmiatin. ANALYSIS OF THE INTERNATIONALIZATION STRATEGY OF MSMES KENDANG DJEMBE BLITAR. Proceedings of the International Conference of Islamic Economics and Business (ICONIES), [S.l.], v. 8, n. 1, p. 349-360, sep. 2022. ISSN 2541-3333. Available at: <http://conferences.uin-malang.ac.id/index.php/iconies/article/view/1768>. Date accessed: 29 mar. 2024.
Section
Articles

References

Assaf A.G., Alexander J., Brian T.R., Carlos P.B. (2012). Internationalization and Performance of Retail Firms : A Bayesian Dynamic Model. Journal of Retailing, Vol. 88 No. 2, pp. 191-205

Ayandibu A.O. and Houghton J. (2017), The role of Small and Medium Scale Enterprise in local economic development (LED), Journal of Business and Retail Management Research (JBRMR), Vol. 11 No.2, pp. 133-139

Bhamra, T., Hernandez, R. J., Rapitsenyane, Y., and Trimingham, R. (2018). Product Service Systems: A Sustainable Design Strategy for MSMEs in the Textiles and Leather Sectors. She Ji, The Journal of Design, Economics, and Innovation, Vol. 4 No. 3, pp. 229–248.

Cahyadi, Indra. (2015). Tantangan Internasionalisasi MSMEs di Indonesia dalam Menghadapi Masyarakat Ekonomi ASEAN. Kajian. Vol. 20 No. 2, Hal. 129-143.

Carslen J. Dan Anderson T.D. (2011). Strategic SWOT analysis of public, private and not-for-profit festival organisations. International Journal of Event and Festival Management Vol. 2 No. 1, pp. 83-97.

Chandrarin, G., Sanusi, A., Imron, A., andYuniarti, S. (2018). An empirical study on income equality, economic growth and financial inclusion in Indonesia: model development on MSMEs financing. International Journal of Education Economics and Development, Vol. 9 No. 4, pp. 346-358.

Chelliah, S., Pandian, S., Sulaiman, M., and Munusamy, J. (2010), The Moderating Effect of Firm Size: Internationalization of Small and Medium Enterprises (MSMEs) in The Manufacturing Sector, African Journal of Business Management, Vol. 4, pp. 3096-3109

Click, Reid. W and Paul Harrison (2000), Does Multinationality Matter? Evidence of Value Destruction in U.S. Multinational Corporations, working paper 21, US Federal Reserve Board.

De, D., Chowdhury, S., Dey, P. K., & Ghosh,S. K. (2018). Impact of Lean and Sustainability oriented innovation on Sustainability performance of Small and Medium Sized Enterprises: A Data Envelopment Analysis-based Framework. International Journal of Production Economics.

Dikova, D., Jaklič, A., Burger, A., and Kunčič,A. (2016). What is beneficial for first- time SME-exporters from a transition economy: A diversified or a focused export-strategy?, Journal of World Business, Vol. 51 No. 2, pp. 185–199.

Dimitratos, P., Johnson, J. E., Plakoyiannaki, E., and Young, S. (2016). SMEi nternationalization: How does the opportunity-based international entrepreneurial culture matter?, International Business Review, Vol. 25 No.

Evans, C. and Wright, A. (2009), How to conduct a SWOT analysis, The British Journal of Administrative Management. Vol 24, pp. 10-34.

Frese, M., Hass, L., and Friedrich, C. (2016). Personal initiative training for small business owners, Journal of Business Venturing Insights, Vol. 5, pp. 27–36.

Garcia, E., Francisco, Paolo, Jamil., Caboverde., and Ed, Christopher. (2018). Entrepreneurial Orientation, Perceived Competitive Threat, and Competitive Strategy Among MSMEs in an Emerging- Economy Capital, RSN-PCC Working Paper Vol. 18, No. 5.

Gayatri dan Setiawina. (2016). Analisis Faktor- Faktor Yang Mempengaruhi Ekspor Produk Olahan Kayu Di Kabupaten Gianyar. E-Jurnal EP Unud, Vol. 5 No. 1, pp. 22-34

Gentry, R., Dalziel, T. and Jamison, M. (2013). Who Do Start-Up Firms Imitate? A Study of New Market Entries in the CLEC Industry, Journal of Small Business Management, Vol. 51 No. 4,pp. 525-538.

Goerzen, Anthony and Beamish Paul W. (2003), Geographic Scope and Multinational Enterprise Performance, Strategic Management Journal, Vol. 24 No. 13,pp. 1289–306.

Hannah Koo Ka-Yin., Chau Leung-Chi., Koo Songbai Liu., and Shu-Chuen Tsui, (2011), A structured SWOT approach to develop strategies for the government of Macau, SAR, Journal of Strategy and Management, Vol. 4 No. 1, pp. 62 – 81

Helms, M. and Nixon, J. (2010), Exploring SWOT analysis – where are we now?: a review of academic research from last decade, Journal of Strategy and Management, Vol. 3 No. 3, pp. 215-251.

Helms, M., Rodriguez, M, A., Rios, L, D., & Hargrave, W., (2011), Entrepreneurial potential in Argentina: a SWOT analysis, Comparative Review: An International Journal, Vol. 21 No. 3,pp. 269-287.

Khatri, J. K. and Metri, B. (2016). SWOT- AHP Approach for Sustainable Manufacturing Strategy Selection: A Case of Indian SME. Global Business Review, Vol. 17 No. 5, pp. 1211–1226.

Knight, G. A., & Liesch, P. W. (2016). Internationalization: From incremental to born global. Journal of World Business, Vol. 51 No. 1, pp. 93–102.

Lu, J. W., and Beamish, P. W. (2006). SME internationalization and performance: Growth vs. profitability. Journal of International Entrepreneurship, Vol 4 No 1, pp. 27–48.

Moloud Suhaiza S., Zailani Mohammad., Iranmanesh Azmin., and Azliza Aziz , (2016), Motivations of SME entrepreneurs to become halalpreneurs, Journal of Science and Technology Policy Management, Vol. 7 No 2, pp. 173 - 189

Nelly Daszkiewicz., Krzysztof Wach. (2012). Internationalization of MSMEs: Context, Models and Implementation. Edition: 1. Gdańsk University of Technology Publishers.

Okpara, John. (2011). Factors constraining the growth and survival of MSMEs in Nigeria, Management Research Review, Vol. 34 No 2, pp. 156 - 171

Rangkuti, Freddy. (2014). Analisis SWOT: Teknik Membedah Kasus Bisnis. Jakarta: Gramedia Pustaka Utama

Tambunan, Tulus, “Usaha Mikro Kecil dan Menengah di Indonesia : isu-isu penting”, Jakarta : LP3ES, 2012

Tricahyadinata, I. (2013) Kapabilitas inovasi usaha kecil dan menengah di Indonesia (Small and medium business innovation capability in Indonesia), Jurnal Akuntabel in Indonesian , Vol. 10, No. 1, pp.1–18.

Verjel, A.M., and Schmid, J. (2015). Possibilities of Increasing Business Sustainability in the Context of Globalization. The Case of the MSMEs. Procedia Economics and Finance, Vol 32, pp 716–720.

Weihrich, H. (1982), The TOWS matrix ± a tool for situational analysis, Journal of Long Range Planning, Vol. 15 No. 2.

Zhang, X., Ma, X., Wang, Y., Li, X., and Huo, D. (2016). What drives the internationalization of Chinese MSMEs? The joint effects of international entrepreneurship characteristics, network ties, and firm ownership. International Business Review, Vol 25 No 2.

Zhao, H., and Zou, S. (2002). The impact of industry concentration and firm location on export propensity and intensity: An empirical analysis of Chinese manufacturing firms. Journal of International Marketing, Vol 10 No 1, pp. 52–71.

Zhou, Kevin Zheng, James R. Brown and Chekitan S. Dev. (2009). Market Orientation, Competitive Advantage, and Performance: A Demand – Based Perspective. Journal of Business Research, Vol 62, pp. 1063 – 1070.